Michigan Deed Conveying Condominium Unit to Charity with Reservation of Life Tenancy in Donor and Donor's Spouse
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FAQ
Under Michigan probate law, a life estate is a specific restriction on a gift to a relative, in that the gift only lasts as long as the relative's life. For instance, suppose that a woman leaves a life estate in a piece of real estate to her second husband, with whom she has no children.
Life estates can be used to avoid probate and to give a house to children without giving up the ability to live in it. They also can play an important role in Medicaid planning. In a life estate, two or more people each have an ownership interest in a property, but for different periods of time.
A life lease generally occurs when an owner transfers ownership of his/her property to someone else but keeps the right to use, occupy, and control the property during his/her lifetime.
Within a life estate, the life estate deed is a document that grants the owner the ability to pass on ownership of a property without including it in a will as part of a person's assets.
In Michigan, real estate can be transferred via a TOD deed, also known as a beneficiary deed. This deed allows a property owner to designate a beneficiary who will automatically inherit the property upon the owner's death, avoiding probate.
